Many businesses underestimate the difficulties of managing energy when handling short-term projects. Planning on having standard energy arrangements whether it be on a construction site, a seasonal event, a pop-up shop, or a property waiting for a permanent supply connection, can be troublesome and expensive. Default or “deemed” tariffs will ultimately be more expensive than necessary due to inflated unit rates. Temporary business meters can offer you an effective solution. You receive an actual bill which allows the business flexibility when managing energy-related costs and an easement in energy setup when in transition.
For businesses that have to find energy on short-term notice, it is important to know how temporary meters work and to get their installations completed as effectively as possible. In this guide, we’ll look at everything from the advantages of temporary business meter installation in the UK, right through to how E for Energy can help make it easier and ultimately reduce your overall energy costs.
A temporary business meter is a meter for an energy supply for a business or project that requires a temporary electricity supply. A temporary meter is much better than a permanent meter as it is flexible and quick and easy to set up, whereas a permanent meter is installed for ongoing business operations over the long-term, with a temporary meter typically used for projects up to the duration of weeks or months. Temporary meters are used most often for construction sites, pop-up retail, and outdoor events, or by businesses that are seasonal and only require an agreement for a short time period and do not need a long-term energy agreement.
Temporary meters work in exactly the same way as permanent meters as they measure the actual consumption which means you only pay for energy you have used. A temporary meter, however, can be installed under a temporary basis which means it can be easy to remove and replace. Similar to a permanent meter, a temporary meter gives you the ability to charge the project to spread the costs over time which could reduce disputes in relation to payments for energy because you are not being charged high deemed rates or estimated bills.
There are a number of situations when a temporary meter installation is the best and most economically viable choice. Construction sites often use electricity at the site during the construction phase long before the permanent connection is supplied. Without a proper temporary business meter, companies may face expensive flat tariffs or an unreliable energy supply at the site which can lead to delays or cost increases for basic business operating expenses.
A similar situation is present when businesses install pop-up shops, seasonal events, or festivals. These businesses do not operate long enough to make a long-term energy contract practical, and any reasonable energy supply is custom to the customer’s project duration. A temporary meter allows these customers to set up a reliable energy supply which they can tailor to their project duration. An additional scenario where temporary meters may be a good option is associated with businesses undergoing renovations or site redevelopments. A temporary meter installation will allow the business to correctly bill their energy supply and avoid unexpected or inaccurate charge-backs associated with a transitional site.
By installing the temporary meter, the business can minimize costs and have peace-of-mind with their day-to-day operations while waiting for their permanent supply arrangements.
Temporary business meter installations in the UK have many benefits, but none more pressing than cost. Those who rely on default (or emergency) energy arrangements may be paying unfair and extremely high rates—often two- or three-times normal tariffs. When you install a temporary meter, you will only pay for what you use at a negotiated rate, without incurring unnecessary charges.
Another plus of temporary meter installations is flexibility. Temporary meters are built to handle fluctuating energy demands for short-term projects. A business could have energy requirements for a festival, a one-off event, or a six-month construction phase; temporary meters can accommodate the energy use as required.
Moreover, inaccurate billing is a significant factor. Temporary meters will measure a business’s actual energy use; therefore, a business will not get estimated energy bills, which can often charge businesses for more than normal consumption. There is a compliance component as temporary meter installations comply with safety and regulation requirements to safeguard all potential legal challenges to projects. Finally, temporary meters can be transitioned easily into permanent connections, allowing a business to move seamlessly from temporary to long-term supply.
The process of setting up a temporary business meter is simple but involves liaising with several parties comprising the supplier, Distribution Network Operator (DNO), Meter Operator (MOP), and ensuring that we assess energy requirements to select the correct meter size and capacity for the project.
Then we can liaise with the DNO to ensure they produce a temporary connection point. The MOP will then install the meter and start their process, adhering to safety and compliance as per regulation. Depending on the project size this could take just a few days, or several weeks. E for Energy will take all the hassle with the communications with suppliers, negotiate the preferred deals, and arrange meter installation within our own timelines.
This proactiveness will reduce delays and prevent businesses being stuck on expensive deemed rates for too long while they wait for proper setup.
There are many mistakes businesses make when organizing temporary energy supply for construction projects, or events, which can be costly. A common mistake is not asking for a temporary meter, and can end up using the default tariffs. This could end up costing the company more. Another common mistake can be not switching to a permanent connection at the correct time, meaning unnecessary standing charges or penalties. Some companies do not recognise the impact of hidden costs, such as wrongly classified VAT, or having a capacity charge for no particular reason. This could cost companies thousands on their yearly energy bill. There are also many poorly designed supply contracts that do not fit companies’ actual energy needs, which without expert advice, businesses might end up with these types of contracts.
E for Energy is an expert at managing energy procurement and reduction of cost which makes us an excellent partner for any business that needs temporary energy. Our team will shop suppliers and negotiate rates, to find the lowest cost-per-unit electricity rates available, in order to eliminate the risk of being overcharged. We handle everything including MOP contracts, communicating with the DNO, installing the meter, and will also keep all professionals and contractors (including third parties) compliant. We will examine all VAT and Climate Change Levy (CCL) bills to guarantee you are charged correctly and recover any overcharges. If you are a client that requires the transition from being temporary to a permanent electricity connection, we will manage this process for you by continuing the supply business with you, avoiding disruption and providing you with permanent suppliers with local distribution companies at favourable fixed rates. For instance, a construction firm contracted with E for Energy for six months on a large project. We working with them on installing a temporary meter and negotiating new tariffs, which ultimately provided the firm with 20% savings on their energy cost in comparison to using the default supply arrangements.
Temporary meters can assist in the long run energy strategy as well. Understanding consumption based on a short-term project provides businesses with better intelligence to forecast future requirements and when to properly negotiate contracts reflecting their actual usage. In particular, this is beneficial for businesses that are expanding to new locations or experimenting with new models like pop-up retailing or seasonal businesses. With fluctuations in the UK energy market of late, receiving accurate data based on temporary arrangements can help give businesses an upper-hand in increasing the way they forecast costs moving forward.
Temporary business meter installation in the UK is an intelligent choice to coordinate and manage energy for a short term use. Whether you are operating a construction site, temporary pop-up shop, or a seasonal event, having the suitable meter in place will allow for accurate billing, cost management, and flexibility of operations. At E for Energy, we make working with temporary business meters, seamless. From negotiating the best supplier terms, to managing your installation, to switching to permanent, we have you covered! If you are considering a project and want to avoid costly deemed rates or energy surprises, reach out to E for Energy today and our team will handle all of the processes for you to ensure your business gets the best rates possible and the simplest installation.